Ortho Pharmaceutical will initially pay a 5%...

Ortho Pharmaceutical will initially pay a 5% royalty to Amgen Inc. to sell the anti-anemia drug erythropoietin, or EPO, less than the 10% royalty some Wall Street analysts had expected. Goldman, Sachs & Co. analyst Jeffrey Swarz said the information is in a licensing agreement contained in a Delaware lawsuit filed by Ortho against the Thousand Oaks biotechnology firm in a dispute over their marketing agreement. Swarz said Amgen will receive the 5% royalty until Ortho, a unit of Johnson & Johnson, recovers an estimated $50 million provided Amgen to develop the drug.